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#427 Preparing an Aging Schedule to Estimate Allowance for Doubtful Accounts A review of open invoices of Sketchers Inc. results in the following report. Date
#427 Preparing an Aging Schedule to Estimate Allowance for Doubtful Accounts A review of open invoices of Sketchers Inc. results in the following report. Date Invoice Amount (Each from this year) #496 $407.54 5-Dec #495 609.58 2-Dec 243.70 5-Nov #100 96.94 28-Jun #300 659.05 3-Oct #410 595.78 31-Oct #204 55.73 #498 676.30 #499 245.46 28-Dec #487 664.25 28-Nov #310 184.58 8-Oct #178 571.74 7-Aug #497 297.81 5-Dec #488 127.02 29-Nov #105 16.65 5-Jul $5,452.13 25-Aug 28-Dec Required a. Organize the list of open invoices as of December 31 into a table with the following aging categories across the top: (1) less than 30 days, (2) 31-60 days, (3) 60-90 days, and (4) gra than 90 days. b. Assume that the company estimates the allowance for doubtful accounts based upon the following percentages applied to the appropriate aging categories: (1) 1% for less than 30 #497 #488 #105 297.81 127.02 16.65 5-Dec 29-Nov 5-Jul $5,452.13 Required a. Organize the list of open invoices as of December 31 into a table with the following aging categories across the top: (1) less than 30 days, (2) 31-60 days, (3) 60-90 days, and (4) greater than 90 days. b. Assume that the company estimates the allowance for doubtful accounts based upon the following percentages applied to the appropriate aging categories: (1) 1% for less than 30 days, (2) 5% for 31-60 days, (3) 30% for 60-90 days, and (4) 60% for greater than 90 days. What is the ending allowance for doubtful accounts as estimated by the company? Complete the following table to complete requirements of parts a and b. Note: Round each dollar amount to two decimal places. Less than Greater than 30 days 31-60 Days 60-90 Days Total Total Receivables $ 0 X $ 0 x $ Ox $ 0 x $ Percentage 096 X 0 % x 096 x 096 x Estimated Uncollectibles $ 0 x $ 0 x $ 0 x 5 0 x $ 90 Days Check
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